Contact: Colleen Roche (212) 788-2958 or Curt Ritter (212) 788-2971
"Today we celebrate the continued revitalization of New York City's 'Crossroads of the World' with the 'topping out' ceremony of 4 Times Square," said Mayor Giuliani. "With the new theaters on 42nd Street -- the Ford Center, the New Amsterdam, and the New Victory -- and developments like the new MTV studios and the new 42nd Street Subway station entrance, Times Square is making a comeback in a big way. It's cleaner, safer and livelier than it's ever been before, and the great news is that this revitalization has shown no signs of slowing down.
"Over the next few years Times Square will celebrate the opening of a number of new restaurants and great developments like the Tishman hotel and entertainment complex (E-Walk) and the AMC/Madame Tussaud's complex underway on 42nd Street," the Mayor continued. "This 48-story commercial tower will be a 21st Century New York City landmark. Not only will this building be a proud addition to our skyline, it will also usher in a new, environmentally and technologically advanced chapter in the history of the skyscraper. The architects and developers of this building have shown real vision in constructing a monument for the information age and the age of environmental advancement, and I want to congratulate them for it," the Mayor concluded.
U.S. Energy Secretary Peña said, "New York City will truly have it all - a 'green' tower for its skyline and a shining example of how we can save the earth, save money and live in comfort through energy-smart technology. This Earth Day, President Clinton is focused on saving great places. We're proud to join the Durst Organization and the City of New York to help save this great place -- Times Square."
Mayor Giuliani and U.S. Energy Secretary Peña were joined by several City government and business leaders, including Condé Nast President and CEO Steven T. Florio; Skadden, Arps, Slate, Meagher & Flom LLP Executive Partner Robert C. Sheehan; and Durst Organization President Douglas Durst. Construction is currently on target for completion in the summer of 1999.
Steven T. Florio, Condé Nast President and CEO, said, "We look forward to moving to our new building in Times Square. Times Square has become the communications center in the most important city in the world, New York. We are developing an environmentally progressive workplace for our employees that will set a new standard for American business."
Robert C. Sheehan, Executive Partner of the law firm of Skadden, Arps, Slate, Meagher & Flom LLP, said, "We're eagerly anticipating our move to 4 Times Square and looking forward to residing in such an environmentally and technologically advanced building."
Douglas Durst, President of the Durst Organization, said, "We're proud that this project is moving ahead so well and that our presence here will add to the grandeur of the New Times Square, New York's newest and most thriving community."
Four Times Square, developed by the Durst Organization, is comprised of approximately 1.6 million square feet of space and will feature the following environmental enhancements: photovoltaics, fuel cells, air conditioning systems with no HCFC's (hydrogenated chlorofluorocarbons), demolition and construction recycling, energy efficient low "e" glass in the facade, sensors to monitor air quality, and recycling chutes within the building for paper and wet trash.
In addition to its environmental advances, technological achievements will include sophisticated electronic systems and satellite communications capabilities. It will feature T3 wiring for high-speed Internet access and redundant electrical communications systems.
Four Times Square was designed by the architectural firm of Fox & Fowle and will contain floor plates ranging from 29,000 square feet to 49,000 square feet. A three-story retail complex will extend along the Broadway frontage from 42nd to 43rd Streets. Tishman Construction is the Construction Manager for the development. Of its major tenants, Condé Nast Publications and the law firm of Skadden, Arps will each occupy about 650,000 square feet.
Today's announcement follows Condé Nast's decision in May 1996 to remain in New York City for the next 20 years and retain 1,570 jobs. Under the terms of the agreement Condé Nast will receive a maximum of approximately $10 million in City and State benefits if it successfully retains the 1,570 jobs in Manhattan. The City's portion of these benefits is $4.8 million. The City will also contribute a maximum of $750,000 in benefits if the company creates the projected 266 new jobs in the City over the 20-year term of the agreement. The company generates $24.3 million annually in total City tax revenue. These revenues will offset the tax benefits the company will receive from the City in 2.8 months.
Of the City's total contribution to the Condé Nast benefits package, more than 13 percent is linked to the job-growth component. The maximum $10 million in City and State benefits linked to the retention of the company's jobs includes sales tax exemptions as well as energy discounts. The benefit for the projected 266 new jobs would be a maximum real estate tax benefit of $750,000.
In the event the company does not maintain the specified job level, the agreement calls for the repayment of some or all of the benefits taken, as well as penalties, and/or a reduction or elimination of any unused benefits. In addition, the company cannot take advantage of any benefits tied to job growth until it certifies that it has created the specified number of additional jobs above and beyond those it has agreed to retain.